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Allahabad High Court

CHOLAMANDALAM INVESTMENT & FINANCE COMPANY LIMITEDversusSTATE OF U.P. AND 5 OTHERS

Decided

Holding

The Court ordered the prescribed authority to dispose of the pending SARFAESI case in accordance with the directions issued in Hinduja Housing Finance Ltd. v. State of U.P.

Summary

The petitioners, Cholamandalam Investment & Finance Co. Ltd., a secured creditor under Section 14 of the SARFAESI Act, 2002, sought a writ of mandamus directing the Additional District Magistrate (Finance & Revenue), District Jhansi, to dispose of a pending SARFAESI case (No. 487/2026). The petition invoked Article 226 of the Constitution and relied on the High Court’s earlier decision in Hinduja Housing Finance Ltd. v. State of U.P. (Writ‑C No. 42608/2025). The State’s standing counsel raised no objection to the petition being disposed of in line with that precedent. The Court therefore dismissed the petition, directing the magistrate to dispose of the case in accordance with the directions given in the Hinduja Housing Finance judgment. The order emphasizes strict compliance with the earlier directions.

Issues considered

  • Whether the Additional District Magistrate is bound to dispose of the SARFAESI case in accordance with the High Court’s directions in Hinduja Housing Finance Ltd. v. State of U.P.
  • Whether a writ of mandamus is the appropriate remedy to compel such disposal

Legislation cited

Subjects

  • SARFAESI Act
  • Section 14
  • secured creditor
  • mandamus
  • Article 226
  • High Court writ jurisdiction
  • debt recovery
  • judicial direction

Judgment

                                           HIGH COURT OF JUDICATURE AT ALLAHABAD
                                                          WRIT - C No. - 35843 of 2026


                                  Cholamandalam Investment & Finance Company
                                  Limited                                                     .....Petitioner(s)
                                                                    Versus

                                  State Of U.P. And 5 Others
                                                                                           .....Respondent(s)

                                  Counsel for Petitioner(s)           :   Chandan Sharma, Riya Shukla
                                  Counsel for Respondent(s)           :   C.S.C.

                                  Court No. - 5
                                                     HON'BLE PRAKASH PADIA, J.
                                                     HON'BLE INDRAJEET SHUKLA, J.
                                  1. Heard Sri Chandan Sharma, learned counsel for the petitioner and
                                  learned Standing Counsel for the State respondents.
                                  2. By means of this petition filed under Article 226 of the Constitution,
                                  petitioner has prayed for a writ of mandamus to command the respondent
                                  No.-3, namely, Additional District Magistrate (Finance & Revenue),
                                  District Jhansi to dispose of the pending Case No. 487/2026
                                  (Computerized Case No. D-202606370000487) [Cholamandalam
                                  Investment & Finance Company Limited Vs. Mr. Nitin Dixit and others]
                                  of the secured creditor under Section 14 of SARFAESI Act, 2002 in the
                                  light of the law laid down by this Court in the case of M/s Hinduja
                                  Housing Finance Ltd. v. State of U.P. and 3 others (Writ - C No.- 42608
                                  of 2025) decided on 12th January, 2026.
                                  3. Learned Standing Counsel does not have any objection in the event
                                  petition stands disposed of in terms of the order passed in the case of M/s
                                  Hinduja Housing Finance Ltd. (supra).
                                  4. In view of the above, we dispose of this petition with a direction to the
                                  prescribed authority under Section 14 of SARFAESI Act, 2002 to dispose
                                  of the pending case of the petitioner in the light of directions issued by
                                  this Court in the case of M/s Hinduja Housing Finance Ltd. (supra).
                                  5. It is expected that the said authority shall be strictly adhering to the
                                  directions of this Court in the said case in this matter as well.


                                                                  (Indrajeet Shukla,J.) (Prakash Padia,J.)
                                  September 9, 2026/saqlain




Digitally signed by :-
SYED MOHAMMAD SAQLAIN HAIDER
High Court of Judicature at Allahabad


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